Why N.J. could be next state to allow college athletes to seek endorsements, profit off likeness

Updated Oct 25, 2019; Posted Oct 25, 2019

State legislators in New Jersey are following in the footsteps of those in California who signed into law a bill that would allow college athletes to pursue endorsements using their name, image and likeness by introducing a similar bill on Thursday.AP

Less than a month after California became the first state to legalize college athletes being paid for endorsements using their name, image and likeness, New Jersey took the first steps to follow its path.

State senators Joe Lagana (D-Bergen) and Sandra Cunningham (D-Hudson) introduced a bill on Thursday that would prevent the state’s 27 NCAA colleges and universities from barring student athletes from earning endorsements, as well as allow athletes to seek an agent or lawyer and protect them from losing scholarships if they take either route, according to Gannett New Jersey.

“A lot of people, including many at the NCAA, earn large amounts of money off of the blood, sweat and tears of talented young New Jerseyans in this state and, frankly, across the country,” Lagana, one of the sponsors of the New Jersey Fair Play Act, said in a statement. “As a former college athlete, I witnessed firsthand the sacrifice put in by so many of my peers and cannot overlook the inequality created when students that excel in other disciplines, such as the arts, are not restricted in seeking endorsements.”

The NCAA’s stance on the issue of college athletes being paid has not budged much in light of recent discussions. The organization has been firm in opposing college athlete compensation from outside their program, arguing it removes the distinction between college and professional athletes while giving certain schools an unfair recruiting advantage.

The organization formed a committee to study its own rules on name, image and likeness — which is what the New Jersey Fair Play Act is pursuing compensation for — but has remained staunchly opposed to paying players for participation.

"As more states consider their own specific legislation related to this topic, it is clear that a patchwork of different laws from different states will make unattainable the goal of providing a fair and level playing field for 1,100 campuses and nearly half a million student athletes nationwide," the NCAA said in a statement last month after California Gov. Gavin Newsom signed the state’s NIL law.

The New Jersey Fair Play Act, which is in its early stages and must be vetted by Legislative committees before it becomes law, has limitations if passed.

Student athletes’ likeness would not be allowed to be used to promote adult entertainment, alcohol, gambling, tobacco/e-cigarettes, pharmaceuticals, drugs and firearms.

Even if passed, the law would not come into effect for some time. California’s bill does not go into effect until 2023, and the New Jersey law includes a five-year waiting period before it can do so, according to Gannett.

Some of the state’s leaders in college athletics reacted to the news Thursday.

“I understand both sides of the argument, because obviously a lot of money is being made off these guys in a lot of ways,” Rutgers’ interim head football coach Nunzio Campanile told reporters after practice Thursday. “But at the same time, I don’t know how you keep the corruption out of it if that were to happen. I would like to see more information about how they plan to police it.”

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